We were at a cross roads - buy a bunch of new servers for our new infrastructure or virtualize on 3-5 Servers.

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ESX 3.5 was the current version of ESX for virtualization of Servers. For me, this was the way to go but I had to convince my superiors of the value. We bought and paid for enough licenses for 5 vm's and I went at it - There was no vmconverting at the time, so I created new servers and moved data. Some of our small servers went fine, it was truly transparent to the end users, then it happened. The File Server crashed during a backup. I had nothing to lose - "let's restore the files to the new VM and roll" was my only comment - no one argued so away I went and immediately virtualized our file server, then completed 35 more VM's in the next 6 months. Life was good!